GM and SAIC in final talks for IPO stake buy

Article by Christian Andrei, on November 12, 2010

As part of its landmark initial public offering, General Motors Co. is finalizing talks to sell equity to its Chinese partner SAIC Motor Corp., according to two insiders.

These two people added that GM and SAIC are finalizing how much stake SAIC would buy in GM after talks on SAIC’s goals to move beyond the China market and technology sharing.

These people added that any deal between SAIC and GM must be green-lit by the Chinese government and there’s a risk that it could fall apart.

Sources had told Reuters that GM’s executives and bankers are courting investors, including overseas sovereign wealth funds believed to buy almost $2 billion worth of shares. On Wednesday, a source said that GM and its bankers have not decided on a maximum value for investment by sovereign wealth funds.

Experts say that closer links with SAIC would emphasize GM’s leading rank in China, the world’s largest and fastest-growing car market.

The likely investment by SAIC into GM would expand a 13-year-old joint venture in China and their newly created relationship in India to a bigger global stage.

GM is expected to price its roughly $13 billion IPO on Nov. 17 and is set to start trading on Nov. 18. [via autonews - sub. required]

Topics: gm, saic, ipo

If you liked the article, share on:

Comments

Login or Create new account to add a comment!

Recommended

Back in 2009, Nissan first introduced the Nissan Leaf, the company’s first all-electric vehicle. LEAF stands for Leading Environmentally-friendly Affordable Family car and this particular EV has been considered as...
by - December 3, 2016
In the minivan segment, the 2017 Chrysler Pacifica is already impressive in terms of fuel economy figures – as rated by the United States Environmental Protection Agency. In fact, the...
by - December 2, 2016
Having a blacked-out Bentley Mulsanne Speed is already menacing by itself but by naming it as the Bamford X, it became all the more imposing. This model was made by...
by - December 2, 2016
We have good news for those who are waiting for the latest version of the Mazda CX-5 compact crossover. It was just unveiled in November at the 2016 Los Angeles...
by - December 2, 2016
Those familiar with racing know that Marco Wittmann’s win during the 2016 Deutsche Tourenwagen Masters held last May was noteworthy as it was his second title in four seasons. In...
by - December 2, 2016
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries